Well on its way to approval from every legal entity required to make it a reality, the merger between T-Mobile USA and MetroPCS has been given the thumbs-up by the FCC. This merger is referred to by the FCC in the official documentation issued today as “Newco” but will be called “T-Mobile US, Inc.” when all is said and done. Together they’ll move forward into the future with such possibilities as the advanced facilitation of 4G LTE and the expansion of what up until now has been MetroPCS’s brand into “new geographical markets.”
The FCC’s statement also makes clear that this merger will very possibly create a “more robust, national network” and will move to make the fourth-largest carrier in the United States a service provider with “improved quality of service” from top to bottom. The FCC has concluded that, per their mission to decide,
“Any potential public interest harms would be outweighed by the resulting public interest benefits” – FCC
This decision is made with several conclusions including that Deutsche Telekom has the right to select a name other than the one listed above any time prior to the close of the deal “Deutsche Telekom AG Application, ULS File No. 0005446627, Exhibit 1, Description of Transaction and Public Interest Statement at 3 n.5” Deutsche Telekom is the parent company of T-Mobile USA, you should know, if you did not know before right this minute.
Four FCC heads, Chairman Genachowski, Commissioner Rosenworcel, and Commissioner Pai, have released statements in support of the approval, letting the public know why they’ve supported the merger and how it’ll affect us all.
“When markets are competitive, consumers are better off when the government forbears from intervening and allows private parties to negotiate and enter into voluntary agreements. As I have said before, mutual consent implies mutual benefit, and it is accordingly in the public interest for freely-negotiated contracts to be allowed and enforced so long as third parties are not harmed. ” – Commissioner Pai
“I have expressed to the parties my concern that as they move ahead, American workers do not get left behind. Major job losses are not in the public interest. The companies have pledged to me that they have no plans to close any domestic call centers, to move them offshore, to close any retail stores, or to reduce retail positions as a result of this deal. They have also assured me that they plan to increase the overall number of workers they employ in the United States. I expect that the company will keep its word—and live up to these promises.” – Commissioner Goldman
Above you’ll see Commissioner Pai‘s statement as well as the statement of Commissioner Goldman. You’ll see that Goldman made a point to assure the public hat both T-Mobile and MetroPCS have promised to keep all of the stores and workers they’d had before this deal, and have no plans to fire any workers or close any stores as a result of the deal.
“Mobile broadband is a key engine of economic growth, with U.S. annual wireless capital investment up 40% over the last four years, the largest increase in the world, and few sectors having more potential to create jobs. In this fast-moving space, of course challenges remain, including the need to unleash even more spectrum for mobile broadband and continuing to promote competition and protect consumers. The Commission will stay focused on these vital goals.” – Chairman Genachoswki
Above you’ll also see the statement of FCC Chairman Genachoswki, who opts to address the situation from a more broad perspective. Have a peek at the timeline below to see more on the history of this deal as it began and ran through to today, where it’s closer than ever to being fully approved.